The Company's production averaged 2,230 boepd in Q3 2015, down 25% from year-ago levels. However, the nine months production volumes are up 16% over 2014 levels. Lower production volumes in Q3 2015 were due to the partial abandonment of the West Delta 44/45 field, which ceased production in June, 2015, and significant downtime at Vermilion 376. Lower production volumes, combined with a significant drop in commodity prices, resulted in a 66% reduction in oil & gas revenues in Q3 2015 to $4.3 million when compared to Q3 2014. The decline in commodity prices was partially offset by a $1.9 million gain on the Company's derivative contracts and a 44% decrease in lease operating expenses. The Oil & Gas segment reported EBITDAX of $0.4 million in Q3 2015.

The Well Services segment utilization in Q3 2015 averaged 49% compared to 55% in Q3 2014 as lower commodity prices continue to weigh on activity levels. Well Services revenues declined 21% in Q3 2015 to $7.7 million. However, lower revenues were partially offset by a 34% drop in operating expenses. A gain of $0.4 million was recorded on settlement of asset retirement obligations (year-to-date gain sums to $3.8 million) as decommissioning costs continue to be completed below original cost estimates. The Well Services segment reported EBITDAX of $4.8 million in Q3 2015.

In Q3 2015, the Company's consolidated EBITDAX totaled $3.1 million compared to $4.4 million in Q3 2014. For the nine months ended September 30, 2015, EBITDAX has totaled $12.7 million compared to $13.6 million of EBITDAX generated in the nine months ended September 30, 2014.

Robert P. Murphy, Chief Executive Officer, commented that "despite dramatically lower commodity prices in 2015 compared to a year ago, our diversified business strategy has enabled the Company to better withstand this challenging commodity price environment. The Company continues to generate positive EBITDAX from both of its business segments. The outlook for the remainder of the year and 2016 remains challenging, however with the current condition of our industry we feel that business opportunities will arise and our unique "cradle to grave" strategy positions the Company to capitalize on such opportunities".

Operations Update

The High Island A494 #B-4 sidetrack well was completed and the rig moved off location in November 2015. The well has been turned over to production and is currently flowing back "frac" water and gas. Approximately 20% of the frac fluid was recovered before being shut-in due to inclement weather. Operations on the well to resume fluid flow back will re-commence once the weather conditions allow.

The Company's decommissioning efforts continue with the plugging and abandonment of idle wells and removal of the associated production facilities. Thirty-nine (39) wells have been plugged and abandoned and fifteen (15) structures have been removed in 2015 with three (3) more structures are expected to be removed by year-end in the West Delta 44/45 field.

SUMMARY OF OPERATING AND FINANCIAL RESULTS FOR Q3 2015

For the three months ended

For the nine months ended

September 30,

September 30,

2015

2014

2015

2014

Oil & Gas Sale Volumes

Crude oil (Bbls)

43,334

82,641

181,449

259,996

NGLs (Bbls)

17,682

10,595

42,847

25,872

Natural gas (M cf)

864,596

1,075,481

3,278,324

2,259,734

Total (BOE) (a)

205,115

272,483

770,683

662,490

Daily (BOE per day) (a)

2,230

2,962

2,823

2,427

Financials

Revenues

$

18,953,043

$

23,883,429

$

44,052,395

$

65,983,525

Operating Expenses

(13,482,981

)

(18,950,148

)

(42,031,005

)

(56,949,031

)

Operating income (loss)

5,470,062

4,933,281

2,021,390

9,034,494

Gain on asset retirement obligation

427,574

(404,818

)

3,786,673

(404,818

)

Unrealized gain (loss) on financing warrants

-

682,000

1,000

395,000

Finance expenses (b)

(3,279,103

)

(4,363,746

)

(9,427,485

)

(10,143,490

)

Income before income taxes

2,618,533

846,717

(3,618,422

)

(1,118,814

)

Deferred income tax expense (recovery)

2,473,000

441,000

682,000

(137,000

)

Net income (loss)

$

145,533

$

405,717

$

(4,300,422

)

$

(981,814

)

Net income (loss) per share

Basic

0.00

0.00

(0.01

)

0.00

Diluted

0.00

0.00

(0.01

)

0.00

Weighted average shares outstanding

Basic

324,099,502

324,099,502

324,099,502

324,099,502

Diluted

324,099,502

324,099,502

324,099,502

324,099,502

EBITDAX (c)

Oil & Gas

$

431,014

$

1,697,525

$

3,244,316

$

9,231,859

Well Services

4,770,060

3,237,502

13,376,608

7,317,613

Corporate allocation & eliminations

(2,069,608

)

(440,349

)

(3,877,406

)

(2,943,316

)

Total EBITDAX

$

3,131,466

$

4,494,678

$

12,743,518

$

13,606,156

(a)

Gas volumes are converted to BOE on the basis of 6 M cf per 1 barrel.

(b)

Finance expenses include accretion for asset retirement obligations.

(c)

EBITDAX is a non-IFRS measure commonly used in the oil and gas industry; see M D&A.

ABOUT ROOSTER ENERGY LTD.

Rooster Energy Ltd. is a Houston, Texas, based independent oil and natural gas exploration and production company focused on the development of resources in the shallow waters of the Gulf of Mexico and the delivery of well intervention services, including well plugging and abandonment, through its wholly owned subsidiary, Morrison Well Services, LLC. Our primary assets consist of interests in 14 federal leases, 9 state leases and 16 rigless units of well intervention equipment. The Company is the operator of the majority of its properties and daily oil and gas production.

Investors are welcome to visit our website at www.roosterenergyltd.com or contact the following for all corporate updates and investor inquiries Gary Nuschler, Jr.

Forward Looking Information and Statements

Certain statements and information in this press release may constitute "forward-looking information" or statements as such terms are used in applicable Canadian securities laws. Any statement that expresses, involves or includes expectations of future operations (including drill rig commitments and use of proceeds), commerciality of any hydrocarbon discovered, production rates, operating costs, commodity prices, administrative costs, commodity price risk and other components of cash flow and earnings, management activity, acquisitions and dispositions, capital spending, access to credit facilities taxes, regulatory changes, projections, objective, assumptions or future events that are not statements of historical fact should be viewed as "forward-looking statements". Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. These risks include, but are not limited to, the risks associated with the oil and gas industry, commodity prices, and exchange rate changes. Industry related risks could include, but are not limited to, operational risks in exploration, development and production, delays or changes in plans, risks associated with the uncertainty of reserve estimates, or reservoir performance, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. The reader is cautioned not to place undue reliance on any forward-looking statement in this press release. The Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law.

Note Regarding Boe

The term barrel of oil equivalent ("boe") may be misleading, particularly if used in isolation. A conversion ratio for gas of 6 mcf//1 boe is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly equivalency conversion ratio of 6:1, utilizing a conversion on a 6:1 basis is misleading as an indication of value.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICE PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE RELEASE.

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